The International Monetary Fund says the biggest threats to the economy are rapid house price rises and a sharp downturn in China. Its broadly positive report sees growth as "increasingly embedded and broad-based" due to the Christchurch rebuild, the housing shortage, strong commodity prices and a big rise in migration. However, it warns that a housing bubble could take hold and impose the risk of a sudden correction.

Party broadcasting funding quotas seen as unfair

Conservative Party leader Colin Craig wants the Electoral Commission to review broadcasting funding allocations, saying the split is unfair. In the wake of ACT MP John Banks' resignation, Craig said it was unfair that a party that no longer had an MP, and was polling lower than his own, should get more funding. The commission said last week that ACT would get $76,930 and the Conservatives $60,207. A host of other minor parties were awarded $33,635.

Craig has second thoughts about an electoral deal

Meanwhile, Craig sent a signal yesterday that he would welcome an electoral deal in a North Shore seat. Prime Minister John Key said that surprised him as Craig had said he was not seeking a deal. Craig has also topped up the Conservative Party's coffers by another $100,000 - just 10 days after he stumped up $55,000. It takes his funding of the party to $2.7 million, almost as much as Internet Party founder Kim Dotcom, who has paid out $3.25m.

Internet Party sifts through 22 prospective candidates

The Internet Party will announce its candidates in Wellington on June 19. Leader Laila Harre said it was working out the electorates to target and which of the 22 short-listed candidates to stand. ''We'll also be assigning each candidate a specific portfolio area,'' Harre said. Candidates will join the combined Internet Mana list to contest the party vote. The two parties will not compete against each other in any electorate.